BRAND FOUNDER ACADEMY FREE TOOLS · THE MONEY SPLIT
FREE TOOL · MAKE IT OFFICIAL

The Money Split.

Money lands in your business account. Split it before you spend it: tax, profit, and what the business runs on.

You are allowed to guess. The percentages here are a starting point. Your CPA gives you the tax number. Move the sliders until the split feels right, then set up the same three sub-accounts at your bank.

Your numbers

One sale, one day, one week. Any amount works. Try $100 first so the percentages are easy to see.
Money you do not touch. It pays the tax bill when it comes. How much to set aside is a question for your CPA. 25 to 30% is a common starting guess in the US.
Money the business pays you, or keeps as a cushion. Taken first, on purpose, so the business learns to run on the rest.
Operating gets whatever is left
Inventory, ads, software, shipping, fees. Everything the business spends comes out of this account.

Where it goes

$60
Operating, what the business can spend
Operating 60% of every dollar$60.00
Tax 30%, do not touch$30.00
Profit 10%, yours$10.00
Post your split in the lesson check-in

What this tool is doing

It is simple percentage math. Whatever lands in the account gets split three ways, in a fixed order: tax first, profit second, and the business runs on what is left. That order is the point. Most founders spend first and hope there is something left for tax. This flips it.

Where the idea comes from. This is the Profit First method, from the book of the same name by Mike Michalowicz. The book uses more accounts and a set of target percentages. Three accounts is enough to start.

How to use it with your bank. Most online business banks let you create sub-accounts for free. Name them Operating, Tax and Profit. Every time money lands, move the tax and profit amounts by hand, or set up an automatic rule if your bank has one.

Not tax advice. The percentage you set aside for tax depends on your income, your state and how your LLC is taxed. This tool only does the arithmetic. Your CPA gives you the number.

This is one lesson inside the Launch Accelerator.We set up the company, the EIN and the bank account in one module, then move straight on to what your launch will cost.
SEE THE ACADEMY

Need the official place to file your LLC? The State Filing Finder. Working on your numbers? The Margin Napkin and The Three Buckets.